Was GM Deal to Buy Back Shares Money Well Spent?

Feb. 13, 2013 7:19 p.m. ET

General Motors Co., the latest auto maker to offer "no haggle prices," may have taken the concept a bit too far.

Investors cheered when the company said in December that it would pay $27.50 each for 200 million shares held by the U.S. Treasury, an 8% premium to the market price. With the stock now trading 4% above what it paid, the deal seems like a win-win.